Latest updates

The time has come: Federal Procurement Act 2018 just around the corner
Schoenherr Attorneys at Law
  • Projects & Procurement
  • Austria
  • June 12 2018

More than four years after the entry into force of the new EU Public Procurement Directive, more than two years after the deadline for transposition and more than one year after publication of the first transposition draft, the time has come. Following the resolutions of the Council of Ministers and the Federal Council, it can be assumed that the Federal Procurement Act 2018 will enter into force by July 2018.

Privacy-related representations in M&A agreements
Schoenherr Attorneys at Law
  • IT & Internet
  • Austria
  • May 15 2018

Companies regularly store information about their customers, clients, employees, investors, partners and vendors. Privacy and data security are therefore important aspects of most M&A transactions. Although the risk of non-compliance with privacy laws may result in severe negative consequences, many M&A agreements still lack adequate privacy-related representations and warranties.

Privacy-related representations in M&A agreements
Schoenherr Attorneys at Law
  • Corporate Finance/M&A
  • Austria
  • May 09 2018

Companies regularly store information about their customers, clients, employees, investors, partners and vendors. Privacy and data security are therefore important aspects of most M&A transactions. Although the risk of non-compliance with privacy laws may result in severe negative consequences, many M&A agreements still lack adequate privacy-related representations and warranties.

Right to clean air – latest developments
Schoenherr Attorneys at Law
  • Environment & Climate Change
  • Austria
  • May 07 2018

In general, the Austrian legal system does not give individuals the right to force the legislature to act in a specific way or pass concrete laws. Normally, only political pressure can combat inaction. However, when it comes to air quality, things are different. The Austrian Higher Administrative Court has declared that individuals who live in a territory where the air pollution limits are exceeded have the right to demand that measures under the Air Immission Protection Act be enacted or amended.

Proposed amendments to gas ordinances and balancing system
Schoenherr Attorneys at Law
  • Energy & Natural Resources
  • Austria
  • May 07 2018

To comply with the applicable EU regulations, E-Control recently published draft amendments to the Gas System Charges Ordinance 2018 and the Gas Market Model Ordinance. In response to international criticism, E-Control also proposed a redesign of the Austrian gas balancing system. In order to implement these amendments in the current Austrian gas market, a proposal to establish a virtual interconnection point at Baumgarten has also been drafted.

Proposals to alter national Data Protection Act
Schoenherr Attorneys at Law
  • IT & Internet
  • Austria
  • April 24 2018

Members of Parliament recently filed an application to amend the Data Protection Act 2018 in order to clarify certain aspects which have led to confusion over the past couple of months. In addition to several provisions relating to competence, the proposed act, among other things, contains a rephrased version of the fundamental right to data protection, introduces the mandatory appointment of data protection officers and suggests enabling the matching of images with explicit consent.

FMA publishes new circulars concerning PRIIPS and remuneration policies
Schoenherr Attorneys at Law
  • Insurance
  • Austria
  • March 13 2018

The Financial Market Authority (FMA) recently published a new circular concerning key information documents for packaged retail and insurance-based investment products. The FMA had already published a revised version of its circular on sound remuneration policies and practices on January 19 2018.

Managers under trade law: how will Constitutional Court rule?
  • Company & Commercial
  • Austria
  • January 15 2018

The Higher Administrative Court recently requested that the Constitutional Court repeal Section 39(2) of the Trade Act, as it infringes fundamental rights guaranteed by the Constitution. Austrian legal practitioners are already eagerly awaiting this judgment, which is expected to be issued during 2018.

New government energy programme
Schoenherr Attorneys at Law
  • Energy & Natural Resources
  • Austria
  • January 15 2018

The new government recently presented its government programme, which sets out its framework and indicates the legislative projects that it intends to implement over the coming five years. As part of the programme, the government hopes to have 100% of the national electricity supply come from renewable sources by 2030. However, as there are no details on how this goal will be achieved, it remains to be seen what changes the energy sector will face.

Automated driving: positive climate impact and recent efforts
  • Shipping & Transport
  • Austria
  • December 20 2017

The Paris Agreement sets the ambitious goal of achieving net zero greenhouse gas emissions in the second half of the 21st century. Therefore, worldwide traffic and transport must change. Despite these objectives, people tend to overlook the fact that automated driving is not only innovative and comfortable, but may also have an important impact on reducing greenhouse gas emissions in future.

New outlines for water management and planning
Schoenherr Attorneys at Law
  • Environment & Climate Change
  • Austria
  • October 02 2017

The first update and review of Austria's national water management planning instrument has revealed that the objectives of the EU Water Framework Directive will be achieved neither to their full extent nor in a timely manner. Nonetheless, the National Water Management Plan 2015 is a useful and comprehensive document that contains extensive information for all stakeholders and sets out the next steps to achieve the ultimate goal of restoring Austria's water bodies.

Beneficial Ownership Register to be introduced in Austria
  • Company & Commercial
  • Austria
  • September 04 2017

Parliament recently passed a new law on the registration of beneficial owners of Austrian legal entities. After obtaining the necessary approval of the Austrian federal states, the law is expected to enter into force on January 15 2018. In disclosing the relevant information on beneficial owners, the register aims to detect and prevent money laundering, especially with regard to complex corporate structures, holding companies or private foundations and trusts.

New rules for mismatched unbundled capacities at interconnection points
Schoenherr Attorneys at Law
  • Energy & Natural Resources
  • Austria
  • August 21 2017

E-Control recently published a draft of the amendment of the Gas Market Model Ordinance 2017. The envisaged amendment – and especially the newly implemented capacity conversion service – resolves the capacity mismatch issue by compensating network users for the economic disadvantages that arise from having to buy double capacity due to the bundling regime at interconnection points.

Renewable energy: amendment to Green Electricity Act doubles funding
Schoenherr Attorneys at Law
  • Energy & Natural Resources
  • Austria
  • July 24 2017

After four months of negotiations, the Austrian National Council has finally reached an agreement on the amendment of the Green Electricity Act. The required two-thirds majority was reached by a last-minute agreement between the coalition parties and the Green Party. The aim of the new legislation is to increase the percentage of green electricity and expand renewable energy in Austria.

Constitutional Court raises hope for third runway at Vienna International Airport
Schoenherr Attorneys at Law
  • Environment & Climate Change
  • Austria
  • July 17 2017

The Constitutional Court recently reached a landmark decision and overturned the Federal Administrative Court decision which had rejected the permit for a third runway at Vienna International Airport on the grounds of climate protection and land use. This decision is significant in that it has far-reaching consequences for many other projects beyond the scope of the third runway. It is also relevant to Austria as a business hub.

Update on Austrian-German single electricity market
Schoenherr Attorneys at Law
  • Energy & Natural Resources
  • Austria
  • July 10 2017

Following an Agency for the Cooperation of Energy Regulators decision which foresees a split of the Austrian-German electricity market, the Austrian National Regulatory Authority, E-Control and the Austrian transmission system operators have announced that they plan to exhaust all legal possibilities in order to appeal the decision.

Participation rights as alternative investment and equity financing instruments
  • Company & Commercial
  • Austria
  • June 05 2017

The typical way to invest in an Austrian company is by way of a capital increase. However, there are formalities with respect to limited liability companies (LLCs) – the most popular legal form in Austria – that sometimes make investing in LLCs unattractive or burdensome. To eliminate the concerns associated with these transactions, Austrian law provides a suitable, but widely unknown, alternative investment instrument: participation rights.

Draft Data Protection Amendment Act 2018 in appraisal
Schoenherr Attorneys at Law
  • IT & Internet
  • Austria
  • May 30 2017

Approximately one year before the General Data Protection Regulation will come fully into force, the Austrian legislature has officially started a six-week consultation process for the national Data Protection Amendment Act 2018. If and to what extent the legislature will make use of the competencies provided for by the 'opening clauses' in the General Data Protection Regulation is highly relevant to companies, and the amendment act has answered this question.

Simplified procedure for foundation of standard LLCs
  • Company & Commercial
  • Austria
  • May 29 2017

The Austrian Parliament recently passed an amendment to the law on limited liability companies (LLCs) aimed at simplifying the foundation of a special kind of LLC. The purpose of the changes – and the simplifications associated with them – have been hotly debated.

Climate impact: game changer for third runway at Vienna Airport
Schoenherr Attorneys at Law
  • Environment & Climate Change
  • Austria
  • May 08 2017

The Federal Administrative Court recently hindered the plans for a third runway to be built at Vienna Airport, explaining that the positive aspects of the project could not justify the extra carbon dioxide pollution. The decision was reached despite the court conceding to the fact that air traffic will increase in the future and thus a third runway is necessary. This may be the first time that any court worldwide has rejected a project due to climate protection.